Tuesday, November 26, 2013

How With Stealth the Well is Won!

Residents who do not own their mineral rights, but who will be directly affected by the drilling near their homes, are kept in the dark for a long time after the first steps to drill have been taken by the stake holders. Take a look at how this process of planning a well site (and getting it approved with minimal interference from residents) works! In Greeley's 2020 Comprehensive Plan it states:
"Advise residents of rezoning and development applications in areas close to their homes and encourage citizen participation in the public review process to express support or concern for a given project in an informed and constructive manner. Encourage developers to work with area residents early in the development of a land use proposal to identify concerns, incorporate suggestions, and provide accurate information on the scope of an intended land use request." ~ LU2.18 Page 191


In the case of the (Fox Run) Sheep Draw Directional Drilling Project, that did not happen!  The location for the 'proposed well head' was staked out and photographed on February 17, 2012. The 2A application was filed with COGCC four days later, on February 21st.  So, when do you think the Fox Run residents were notified? A full year later!

[A similar situation happened with the Kelly Farm permit to put 12 additional wells with 20 condensate tanks near Northridge H.S. A lease was signed on July 21, 2011 between the Kelly Farm Home Owner Association and Waltel Minerals, LLC . That's almost two years before people in the vicinity were notified! Read more here: Kelly Farm]

Says resident Karen Janata:
"On February 26, 2013, I received the letter from Greeley City planner, Brandon Gossard, attached in an email from our Home Owners Association. It was the first I had heard of this!"

The letter stated that the city,

"received a formal application from Mineral Resources, Inc. for approval of a Use By Special Review to allow up to twenty-three Oil & Gas wells on a property located north of 13th Street between 59th and 65th Avenues..Due to the nature of the surrounding area, a neighborhood meeting has been scheduled prior to the scheduling of a public hearing with Planning Commission.
This neighborhood meeting will be planned on Thursday, February 28th at 6:00 pm at the Family Fun Plex...No formal decisions about the project are made by the City of Greeley at the neighborhood meeting....Planning Commission will hold a public hearing to consider the request".
Karen says: "As you can see, we received the notification 2 days prior to this meeting. It was held at the FunPlex in a small room where there was standing room only. Mineral Resources had colored, professional, diagrams of "how beautiful" the area would look with trees/fences etc. We were assured that the fracking would be state of the art and no health risks.

Several people brought up their concerns but of course, Mineral Resources either said they didn't have the necessary statistics or gave vague answers. [City Planners] Brad Mueller and Brandon Gossard were there to represent Greeley and answer questions. I remember one young mom leaving the meeting at the end and crying.

Bob Winkler [see: Frack Files on Facebook] told me at the time that this would be a major impact on us all. Many asked why we were never notified of this meeting -- only through the Home Owners Association. Brandon said they only had to notify homeowners within 350 feet. He then took all of our email addresses.

I received an email stating there would be a planning commission with public hearing on March 12 at 1:15 pm. We had just about 2 weeks to gather information and learn more about this industrial site. Several neighbors started to go door-to-door to get people involved and to attend this hearing. However, with only 2 weeks and having the meeting in the afternoon of a work-day, we only had about 30 people at the meeting.

Also at this time, ..[a neighbor] had contacted Matt Sura, a lawyer to ask for assistance. By a slim margin, the planning commission agreed to postpone their final decision on this project for 2 weeks. Mineral Resources was asked to meet with residents to address their concerns. Matt Sura also began meeting with Mineral Resources to get the site moved to behind King Soopers [on west 10th street], where there are wells already. I myself began researching more and more about the process, accumulating all of the data on spills for a 60 day period.

The Planning Commission approved the Fox Run/Sheep Draw project on March 12 despite the many, many pages of documentation sent to them, and despite all the comments of those who attended. It was agreed upon by Fox Run residents to appeal this decision to the City Council and our appeal was delivered and paid for ($200.00).

Of note: Even though drilling companies are required to adhere to specific setbacks, waivers can be given by nearby property owners. In the Fox Run case one such party even agreed to a setback of only 40 ft to her property line instead of the required 150 (signed May, 2011) See all 15 under: Waiver Exhibit.




Sunday, November 24, 2013

To Sign or Not to Sign a Mineral Lease.

If you are a homeowner who received a letter from 
Mineral Resources with the request to lease your mineral rights for their next horizontal drilling and fracking project, you may want to read what attorney Matt Sura has to share on the subject. 

As a service to the community, Weld Air and Water hosted a presentation by Sura who on Saturday gave an overview of the dangers of fracking near homes and schools, and explained what options people have. Here some key points. You can download two fact sheets by clicking here.
Forced pooling is often threatened by landmen to persuade reluctant mineral owners to lease their minerals. But the threat of forced pooling should not be used to pressure a mineral owner to hastily sign a lease. Forced pooling is only used as a last resort for operators who have already acquired leases to the vast majority of acreage they are planning to develop. In 2010, the COGCC received 62 forced pooling applications. Operators want to avoid the additional time and expense of going through the COGCC process to force pool a mineral owner.  
..Once the drilling unit has been established, an affected mineral owner, who has not leased his minerals, has four different options: He can choose to sell his minerals, lease his minerals, consent to voluntarily pool his mineral interest with the others and participate (financially) in the drilling operation, or be a “non-consenting” owner and be “force pooled”
If the COGCC issues a force pooling order, there are four consequences for the non-consenting owner; 
1) oil and gas operations in that drilling unit are allowed to proceed, 
2) the mineral owner will get a 1/8 (12.5%) royalty payment, 
3) the other 7/8 of the mineral interest payments are withheld to pay-off the costs of the well (plus penalties), 
4) if the mineral owner owns 100% of the minerals under a parcel of land, the operator will not be able to locate the well or facilities on that parcel.

Note that, "Mineral owners who are forced pooled will still receive a 12.5% royalty interest", but the total amount will likely be less than if a lease was negotiated and signed voluntarily. That is because royalties will not be paid until costs have been recouped and by then the production of the well may have declined. But, if (like me and many others) you find the practice of drilling and fracking inside a city reprehensible, this option is the only moral one. Signing the lease is really condoning the practice.

Note also that as the mineral right owner (and you do want to lease) you (especially when joining with many of your neighbors) can request mitigations that will help reduce pollution, noise etc. which is not only beneficial for the people directly affected by the drilling process, but for our whole community! If you want to know more about how to negotiate your lease, please contact Weld Air and Water.

With enough interest, a follow-up meeting with Matt Sura will be planned, so also let your neighbors know about this opportunity! 



Saturday, November 23, 2013

Four Colorado Cities Ban Fracking!

Voters in Broomfield, Colorado, narrowly approved a five-year moratorium on fracking in their suburban community, after a recount by county officials found the measure had passed by 17 votes out of 20,683 cast. ..Because of the close results, a mandatory recount likely will occur.

[Read latest: Recount is delayed indefinitely:]

Four Colorado Home Rule Municipalities, (Ft. Collins, Boulder, Lafayette and Broomfield) used their Colorado Constitutional powers under Art. XX, Sec. 6, to reject hydraulic fracturing.

Governor Hickenlooper, the COGA and the COGCC must now motion to the state court in Boulder County for "joinder" of Ft. Collins, Boulder, Lafayette and Broomfield as co-defendants with Longmont in the lawsuit over COGCC "PREEMPTION". Should Hickenlooper not motion for joinder, then Longmont could motion for dismissal under the 14th Amendment Clause of "Equal Protection Under The Laws".

To single out Longmont and not sue the other four municipalities, would be "discriminatory against Longmont and unconstitutional". We are methodically moving forward to obtain competent legal counsel to represent We the People of Colorado in Federal District Court in Denver to challenge the constitutionality of the COGCC.

 Please sign and share this petition: (Click on the title)
  THE COLORADO OIL & GAS COMMISSION IS UNCONSTITUTIONAL.
"The COLORADO OIL & GAS ASSOCIATION (COGA) (a private trade organization) has sued the City of Longmont, Colorado (a home rule city) and its citizens for exercising their constitutionally authorized powers to halt fracking inside their City Limits. Governor Hickenlooper has threatened to sue any other Colorado city or town who dares to follow Longmont. Governor Hickenlooper is guilty of the acts and omissions of "Constitutional Torts" and must be made to answer to We the People of Colorado, (the Sovereign), in Federal District Court in Denver."
Carl L. Mc Williams
Lead Representative Plaintiff
WE THE PEOPLE OF COLORADO, PLAINTIFFS
V. GOVERNOR JOHN W. HICKENLOOPER, DEFENDANT
 A Federal Class Action "Under Construction"

 Informative videos:
Broomfield Mothers Take On Colorado Oil & Gas  (2:16 min.)
Oil & Gas drilling in Garfield County (6:32 min.)
The New Shale Rush - USA (19:38 min.) 
Celebrities ask Gov. Hickenlooper to ban fracking (0:30 min.) 

Friday, October 18, 2013

A Column the Greeley Tribune Refused to Publish

Here is the submission to the Greeley Tribune by Rachel Gilbert. It was refused on grounds that it was too long for a letter. But, when Rachel let editor, Randy Bangert, know she would like to submit it as a column, he was not willing to concede, saying they are bombarded with election letters and have a hard time getting them all in.

"Feel free to send it to others. And of course you don’t need my permission to do that anyway. Thank you, -- Randy Bangert"

"Last March 12, I attended a City Planning Commission hearing regarding the permitting of 22 hydraulic fractured wells just north of the Fox Run neighborhood. Throughout the hearing, residents of the Fox Run neighborhood expressed their concerns about the appropriateness of the wells so near their neighborhood, while the oil and gas producer attempted to quell their anxieties with promises of dirt berms and shrubbery.

As I remember, the aesthetic properties of several species of shrubbery were discussed, as was the noise pollution associated with a 24/7 drilling project. However, it was the topographical map of the development that caught my eye. I noted the elevation of the site, and how the wells would be located in the Cache La Poudre watershed.

 I then asked the commission: where were the objective third-party assessments for 100-year or even 20-year flood risk? Neither side had addressed this aspect; as though the possibility of a catastrophic flood in our arid climate was too remote to consider. My concern was ignored, and the motion to drill these wells was unanimously approved by Greeley City Council on May 7, 2013.

Four months later, the rains came. Colorado saw the worst floods since 1976. Tisha Schuller,  COGA President and CEO, misled the public, saying there were absolutely no leakages from oil and gas wells during the flood.

Eyewitness accounts, including my own, observed a different reality. Some wells were leaning or bobbing like huge, insane corks in the moving water. Were they leaking crude oil? Or maybe toxic produced water? It was a chilling sight, and I dreaded the news to come.

Now, receding waters have allowed experts to comprehensively assess the damage. Two weeks ago, state officials discovered a fifteenth well that had spilled into the South Platte River during the floods. This discovery brings the total estimated amount of oil and gas spilled into the Platte to approximately 43,000 gallons.

These highly toxic and flammable gallons of spilled oil may seem like “small potatoes” to some, but they degrade much slower than the biohazards caused by human waste. In addition to the leaked oil, experts estimate that over 26,000 gallons of “produced water” also spilled into the Platte (COGA). This wastewater is the product of the hydraulic fracturing drilling process, and may be much more hazardous than the spilled oil.

Though “produced water” sounds harmless, it contains not only residuals of oil and gas, but many toxic chemicals. Benzene and ethyl-benzene are known to mutate human DNA; they are especially harmful to unborn babies because they can cause birth defects when absorbed into the mother’s bloodstream. Benzene is a known carcinogen in humans; it can cause lymphoma and other blood cancers. Ethyl-benzene, xylene, and toluene are toxic to human blood, kidneys, liver, and the central nervous system.

If the presence of these chemicals is not alarming enough, produced water often contains arsenic, chromium, boron, barium, and other heavy metals that are hazardous when ingested. While farmers are justly concerned about possible contamination from leaked sewage, these metals do not break down naturally like human waste does.

 Since its inception as Union Colony, Greeley’s farsightedness with regard to water has been one of very careful stewardship. We have set ourselves apart in defining prior appropriation laws, and our municipal wastewater processing plant has state-of-the-art technology. Greeley has water resources that other Front Range communities openly covet. Water is our legacy, and we are poisoning that legacy by allowing oil and gas wells where they clearly do not belong."
----------------------------------------------------------------------------------------------------

Here an impression of who Tisha Schuller is. Comments taken from her blog,  Red Tie, Green Heels.

"..As our personal story unraveled, a public one of oil and gas safety evolved as well, spurred on by unrelenting fractivists delighted by the opportunity to create a national story out of half-truths and straight up lies. Despite rumors of everything from massive toxic waste spills (never happened) to tens of thousands of lost wells (that didn't happen either), Colorado's oil and gas industry proved itself extraordinarily prepared, able to respond in real time, and deeply committed to Colorado’s recovery now, and for the long haul. 
The vast majority of sites had no spills. Six hundred sites were safely put back online within a few days, leaving 1,300 wells shut in. And spill volumes were tiny when put in context: Hundreds of billions of gallons of rainwater 220 million gallons of raw and partially treated sewage 45,000 gallons of oil and gas. 
I still find myself wondering why fractivists were so eager for a massive environmental disaster when so many families were and are still experiencing real tragedies." 




Tuesday, September 24, 2013

Greeley Tribune on oil spilled: 'Small Potatoes'

From the Greeley Tribune which in its print edition headline dared call the spills "Small Potatoes". That is their choice of words. When you read the article you will find that no official ever said the spills are  'insignificant' either, or else Dunn could have, should have quoted them.
"While the new estimate of oil released from flood-damaged tanks has grown to almost 35,000 gallons, officials believe it really is just a minute part of a much bigger problem. Floodwaters quickly became a toxic soup of wastewater, raw sewage, industrial and household chemicals, agricultural waste and chemicals rushing downstream.  
Oil and gas releases, officials said, have been so small it’s almost immaterial. “There were likely hundreds of millions of gallons of untreated or partially treated sewage, and that is the larger public health concern,” said Mark Salley, spokesman for the state Department of Public Health and Environment..."
But, at least the "hundreds of millions of gallons of untreated or partially treated sewage.." are biodegradable. Not so much the oil, and remember that 1 gallon of oil contaminates 1000 gallons of water. So, 35,000 gallons of oil has the potential of polluting 35,000,000 gallons. That is significant!

Gary Wockner, Colorado Director of Clean Water Action shared this:
"The more we know, the worse it gets, and it's not over yet. The State of Colorado needs to continue inspecting and reporting, and then testing water and soil for contamination. The industry needs to clean it up and be held accountable. Afterwards, the State needs to initiate new rules for drilling and fracking near rivers and in floodplains to avert this kind of disaster in the future." -- Gary Wockner, Clean Water Action

Who could argue with that, since spills keep occurring even when the weather is not to blame. The Greeley Tribune regularly shares spill reports. Read a recent one here.




  

Monday, September 23, 2013

And the Spills Continue

From the Greeley Tribune's Oil and Gas Spill Report
To tell by their opinion poll, many readers skip reading the spill reports! See illustration! Click here to leave your vote!

NOTE: One barrel of oil is 42 gallons (I added the conversion to gallons in red and added emphases)


Sept. 12, Kerr-McGee Oil and Gas Onshore LP reported that on Aug. 29, a gasket on a truck failed while an oil hauler was being loaded northeast of Fort Lupton. About 1.6 barrels of oil (672 gallons) were released; none were recovered. The driver shut the pumps down and released the pressure. A bucket was placed to catch leaking oil. Contaminated soil will be excavated. Soil sample tests will determine further remediation efforts. The cause of the spill was determined to be equipment failure.

Sept. 13, Bonanza Creek Energy Operating Company LLC reported that on Sep. 3, a tank equalizing valve was shut between two oil tanks east of Evans. This prevented oil from running over to the second tank as the first filled. About 100 barrels of oil (4200 gallons) were released, and 97 recovered with a vacuum truck. The equalizer valve was opened. The tank battery will be dismantled and soil tested. The cause of the spill was determined to be human error.

Sept. 13, Kerr-McGee Oil and Gas Onshore LP reported that on Sept. 4, an operator who was draining water from the oil tank to the water tank south of Platteville left the site without closing the drain valve. The water tank overflowed, releasing about 22 barrels of oil (924 gallons), none of which were recovered. Groundwater was impacted. Some contaminated water was disposed of, and MicroBlaze was applied to what remained. A new battery will be constructed with a geosynthetic liner. The cause of the spill was determined to be human error.

Sept. 13, Kerr-McGee Oil and Gas Onshore LP reported that on Sept. 6, an operator discovered oil staining on the ground during a daily site inspection southwest of Johnstown. The poly pipe came apart on the oil dumpline. It is unknown how much oil was released, and none has been recovered. Groundwater was impacted. Impacted soil was excavated. Ten gallons of MicroBlaze was applied to the water, and groundwater monitoring wells will be installed to determine the extent of the contamination. The cause of the spill was determined to be equipment failure.

Sept. 13, Encana Oil and Gas (USA) reported that on Sept. 6, a seal failed on a discharge line. The crew nearby shut off the mud drilling flow quickly. The spill area was scraped and the remaining drilling mud was removed using a vacuum truck. No further remediation is required. The cause of the spill was determined to be equipment failure.

Sept. 17, Bill Barrett Corporation reported that on Sept. 6, a hose from a mud pit to a pumping unit failed, causing a release of about five barrels of drilling mud, all of which were recovered. Soil samples will be collected, and if they are compliant with allowable levels of contaminates, no further remediation will be required. The cause of the spill was determined to be equipment failure.

Sept. 17, Noble Energy Inc. reported that on Sept. 11, about two barrels of water (84 gallons) released from a filling frac tank during line blow down process northeast of Eaton. One barrel was recovered. The area will be excavated and soil samples collected. The cause of the spill was determined to be equipment failure.

Anadarko Donation for Weld Less Than Half a Penny of Profits

Featured prominently in a piece by Cliff Willmeng on EcoWatch this morning: 
"Anadarko, a multinational petroleum corporation with annual revenue of more than $14 billion and the owner of some of the first major official spills into the South Platte River, volunteered $300,000 toward flood relief efforts." 
Their donation, very likely in part meant to help assuage their guilt in the spill, made me think of the following press release by the United-Way of Weld, Greeley chapter which proudly proclaimed:

ANADARKO PETROLEUM LEADS THE WAY IN LONG TERM RECOVERY FUND FOR FLOOD VICTIMS 
Anadarko Headquarters, Texas
Greeley, CO – Anadarko Petroleum Corporation made a commitment to the communities of Weld County by contributing $300,000 to the Weld County Flood Relief Fund...With this contribution, the fund has grown to more than $450,000 in less than one week since inception. 
Donations are coming in from all across the country, with nearly two hundred individuals, in addition to a few considerate companies who have local ties. In addition to Anadarko, a few companies have stepped up to create corporate match programs as incentive for employees to donate to either the Community Foundation or United Way of Weld County. 

 The Greeley Tribune printed the release almost verbatim. Find the full version here. But, what I immediately wondered, was why the other company donors were not mentioned by name? Why should Anadarko be so prominently featured? 

I asked that question: 
 Dear Mr. Tucker,  
It offends me to read the following in your press release. 
 In addition to Anadarko, a few companies have stepped up to create corporate match programs as incentive for employees to donate to either the Community Foundation or United Way of Weld County
Why not also give proper credit to those other companies, by naming them? 

 His reply came back just 13 minutes later:
I'm sorry you're offended. We felt it was appropriate to focus on Anadarko because of the significance of the contribution. JBS and Bank of Choice have also committed to help through matching, but they have both been mentioned on separate releases.
Thank you for your concern and please let me know if you have any questions. 
Mark Tucker, Director, Marketing & Community Development, United Way of Weld County 970.304.6176 | mark@unitedway-weld.org 
So it is the significance of the contribution that matters! Certainly it is a nice gesture that provides the community with much needed aid, but when seen as a percentage of their yearly profits; 100 million dollars last year, their donation is only 0.3 of one percent of that. 

Put differently, that is like having $3.00 and donating just one penny! Compare that to a hundred dollar donation from a resident who only has $1200 in 'profit' or savings to freely spend in a year. His or her donation is 8%, or 8 cents of one dollar. 
If we really want to compare it to Anadarko's gift we need to put it in the right perspective of  the three dollar example. That would show the contrast of a whopping  24 cents compared with their measly penny! 

But, it turns out that Anadarko and the United-Way have been connected for many years, so perhaps that's the reason that they get so much praise for their donation. Last year Anadarko donated 2 million dollars to the United Way, but half of that came from its employees; the company matched their donation dollar for dollar.

EcoWatch: Colorado Flooding Triggers More Oil and Gas Spills